USDA Extends Pilot Program to Help Rural People Access Affordable Manufactured Home Financing
U.S. Department of Agriculture (USDA) Rural Development is extending a pilot program for people in Virginia and 22 other states looking to access affordable financing for building manufactured homes in rural communities.
Originally launched in 2016, the pilot was renewed in 2022 and was set to expire on Nov. 4, 2024. Through the extension, USDA will continue to waive regulatory requirements until May 1, 2025, for applicants seeking financing to build these types of houses. Loans may be used to fund existing manufactured structures and modular homes or build energy-efficient manufactured and modular homes if the applicant is leasing the land on which the home will be built.
This financing is made possible through the Single Family Housing Direct Loans and Single Family Housing Guaranteed Loan programs, which help low- and very-low-income applicants obtain decent and safe homes and assist approved lenders in providing low- and moderate-income households the opportunity to buy or build modest, decent and safe homes in eligible rural areas.
Today’s announcement supports the Biden-Harris Administration’s Housing Supply Action Plan, which seeks to boost new financing mechanisms for building and supplying quality and affordable homes. The pilot is also effective in Colorado, Iowa, Louisiana, Michigan, Mississippi, Montana, Nevada, New Hampshire, New York, North Dakota, Ohio, Oregon, Pennsylvania, South Dakota, Tennessee, Texas, Utah, Vermont, Washington, West Virginia, Wisconsin and Wyoming.
The Department expects to issue a final rule in 2025 to make these waivers permanent. Additional information will be made available in the coming months. See page 82484 of the Oct. 11, 2024, Federal Register to learn more about the pilot extension.
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